qV J' ~COR TED COP~

fPIIIZE HS! 9595EEPHCIRI CICIMWIR2I'PP. O. BOX al666 ~ PHOENIX, ARIZONA 85036

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May 10, 1982ANPP-20927-WFQ/KWG

Director of Nuclear Reactor RegulationUnited States Nuclear Regulatory CommissionOffice of the Nuclear Reactor RegulationWashington, DC 20555

Subject: Palo Verde Nuclear Generating Station (PVNGS)Units 1, 2 and 3Docket Nos. STN 50-528/529/530File: 82-005-000/82-056-026

Reference: Letter from E. E. Van Brunt, Jr. to the Director of NuclearReactor Regulation dated October '1, 1979, Subject:,"Information Requested by Regulatory Guide 9.3"

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Dear Sir: I3

The referenced letter provided the owners of PVNGS'esponse to the.requirements of Regulatory Guide 9;3. Item two of the document is asfollows: ~ r ~

"Licensees whose construction permits include conditions pertainingto antitrust aspects should list and discuss these actions orpolicies which have been implemented in accordance with suchconditions."

The attached pages provide revised responses with regard to the ArizonaPublic Service Company and the Salt River Project Agricultural Improvement.and Power District sections Of the documents.

If you have any questions, please contact me.

Very truly yours

E- E. CI K+nUWE. E. Van Brunt, Jr.APS Vice President,

Nuclear ProjectsANPP Project Director

EEVBJr/KWG/sbAttachment

cc: Lynne BernabeiA. C. GehrR. L. GreenfieldE. LicitraP. Nicholson (NRC)

8210040305 820928PDR ADOCK 05000528

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STATE OF ARIZONA ))

as'OUNTYOF MARICOPA)

I, Edwin E. Van Brunt, Jr., represent that I am Vice PresidentNuclear Projects of Arizona Public Service Company, that the foregoingdocument has been signed by me on behalf of Arizona Public ServiceCompany with full authority so to do, that I have read such documentand know its contents, and that to the best of my knowledge and belief,the statements made therein are true.

Edwin E. Van Brunt, Jr.

,. '6eqra to'efore me.thief'ay oi

Hy Conu'a'~saion expires:

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'982.Notary Public

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a 'RIZONA PUBLIC SERVICE CO. REVISED RESPONSE'.Item 2

Licensees whose construction permits include conditions pertaining to anti, trustaspects should list and discuss these actions or policies which have been imple-mented in accordance with such conditions.

~Res onse

The PIGS

l.l, 2, and 3 construction permits where subject to the following conditions:

~ Xn connection with the antitr'ust conditions the followingdefinitions are used:

Bulk Power means the electric power, and any attendantenergy, supplied or made available at transmission orsubtransmission voltage by one entity to another.

Entity means a person, private or public corporations,tmstic-ipality, 'a cooperative, an association, a joint stock associa-tion or business trust owning, operating or proposing in good" faith to own or operate equipment or facilities for the gener-ation, transmission or distribution of electricity to or forthe public as a utility.Joint A~licant(d)~ means the Arizona Public Service Ctmpanyand tE'e Salt ttrver Project Agzicultural Improvmnent andPower District.

.2.A. Each joint applicant will tran+nit Bulk Power ovei itstransmission system, between or among two or more Entitieswith which it is interconnected, or will be interconnectedin the future, without restrictions on use or resale of thepower so transmitted, provided that such services can reason-ably be acccomodated from a technical standpoint without im-pairing each joint applicant's reliability or its own useof its facilities.

2.B. Each joint applicant is obligated under this condition totransmit Bulk Power on the terms stated above, and inconnection with each joint applicant's plan to constructnew transmission facilities for its vn use; to includein its planning and construction program sufficient trans-mission capacity for such Hulk Power transactions, providedthat such applicant has received sufficient advance noticeas may be necessary from a technical st endpoint to acconnedatethe requirements of any requesting entity, and further pro-vided tint such entity(ies) are obligated as may be agreed(i) to share the capital, operating and maintenance costs ofsuch new transmission facilities to the extent that additionalcosts burdens would be imposed on such joint applicant or (ii)to carrpensate the joint applicant fully for the use of itssystem.

3. The foregoing shall be implement:ed in a manner consistentwith the provisions of the Federal Power Act as applicableand all rates, charges or practices in connection therewithare to be subject: to the approval of reyQatory agencieshaving jurisdiction over them.

APS entered into an Agreement dated August 31, 1955, with the Salt River ProjectAgricultural Improvement and Power District (SBP) which contained certain restric-tive provisions applicable to sales at retail and sales at wholesale which wereeliminated by a supplemental agreement between the parties dated December 1, 1972.After the adoption'of the Agreement of August 31, 1955 and prior to the time thesupplemental agreement was adopted, however, certain wholesale sales agreements

- entered into by APS with other electric systems contained certain restrictionson resale by these systems of electricity purchased frceze APS, in order to preventthe ultimate sale of such electricity for consumption in territory allocatedto SRP in the agreement of 1955. The wholesale sale provisions of these agree-ment:s were eliminated by supplemental agreement. The wholesale power agreementswith other systems which contained such provisions are listed below:

(a) Power Coordination Agreement between APS and Tucson Gas and ElectricCompany, dated December 31,,"1962 (APS-FPC Rate Schedule No, 32).

(b) Interconnection Agreement between APS and Public Service Company ofNew Mexico, dated June 10, 1963, (APS-FPC Rate Schedule No. 23).

1 t(c) Interconnection Agreement between APS and Utah Power and Light Company,dated July 8, 1963 (APS-FPC Rate Schedule No. 26).

(d) Coordination Agreement between APS and Nevada Power Company, datedJanuary 1, 1969 (APS-FPC Rate Schedule No, 29).

In addition APS has entered into transmission service agreements for the deliveryof bulk power which comply with the conditions of the construction permit, Theseagreements are:

'FERC 'Kl. ''A~cement

$/20 APA'Date of Agreement 4-30-53. Effective date 7-.1-63.Contract for Transmission of Electric Power and Energybetween Arizona Power. Authority and Arizona Public ServiceCompany.

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862

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NIUA Effective date 5-10-63.W~ho esale Power Supply Agreement bet~ een Arizona PublicService Company and the Navajo Tribe of Indians.

Round Vall~e Effective 4-18-75.Transmission Agreement between Ar'izona Electric PowerCooperative, Inc. and Arizona Public Service Co.

ED-3 Date of Agreement 7-7-61. Effective Date 2-6-63.Electrical District No. 3/Arizona Public Service LeasePower Agreement,

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jf14

815

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ED-7 'Date of Agreement 6-16-60. Effective 2-6-63.Electrical District No. 7/Arizona Public Service PowerAgreement.

MCMCD Date of Agreement 5-10-61. Effective date 2-6-63.Harzcopa County Hunicipal Water Conservation DistrictNo. 1/Arizona Public Service Power Agreement.

RID Date of Agreement 4-7-61. Effective Date 2-6-63.Roosevelt Irrigation District/Arizona Public ServicePower Agreement.

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BID Date of Agreement 5-9-61. ,Effective date 2-6-63.Buckeye Water Conservation and Drainage District/ArizonaPublic Service Pm~er Agreement.

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YXD and Gila Date of Agreement 8-1-68. Effective date 11-18-68.Yuma Irrigation District/Arizona Public Service CompanyPurchase and Transmission Agreement.

TEP Firm Wheelin~ (Service Schedule E) Effective date 5-1-65Power Coor ination Agreement o Decem er 31, 1962. betweenTucson Gas, Electric Light arid Power Company (now known asTucson Electric Power Cmtpany) and Arizona Public Service Cmspany.

SCE Line Lease Effective date 5-22-69.Transmission Agreement between Southern CaliforniaEdison and Arizona Public Service Comoany.

~ SRP Line Lease Date of Agreement 8-8-69. Effective date 10-1-69Transmission Line lease agreement between Arizona Public ServiceCcPsspany and Salt River Project Agricultural Improvement andPower District.

VE3

VE77

f78

SRP Backu Char e (Service Schedule K) Effective date 4-4-78.Power Coor ination ASremmen~t o September 15, 19SS betweenSalt River Project Agricultural Improvement and Power District.

LMXP Firm Service Date of Agreement 3-.18-80, Effective 3-21-80linn Transmission Service ASreement between Arizona PublicService Company and the Department of Water and Power of theCity of Los Angeles.

LADWP Non-Firm Service Date of Agreement 3-18-80. Effective 4-3-80.Non-Firm Trans~mssxon Service Agreement between Arizona PublicService Company and the Department of heater and Power of the City

:,.of Los Angeles.

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f73 'PNH'FIRM'SERVICE - Date of Agreement 3-26-79, Effective 5-1-83Agreement For Transmission Service For Delivery of PublicService Company of New Mexico's Palo Verde Entitlement

fj80 SCE FIRM SERVICE - Date of Agreement 2-7-80, Effective 6-1-84Ag b

Arizona Public Service Company and Southern California EdisonCompany

jj86 UP6L FXBM SERVICE - Date of Agreement 11-17-80, Effective 6-1-81Arizona-Ut Firm Transmission Service Agreement betweenArizona Public Service Company and Utah Power 6 Light Company

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Item .2

ATTACHMENT 2

SALT RIVER PROJECT AGRICULTURAL IMPROVEMENT AND POWER DISTRICTREVISED RESPONSE

Licensees whose construction permits include conditionspertaining to antitr ust aspects should list and discuss theseactions or policies which have been implemented in accordancewith such conditions..Response

..The PVNGS 1, 2, and 3 construction permits where subject to thefollowing conditions:

I

1. In connection with the antitrust conditions the followingdefinitions are used:

Bulk Power means the electric power, and any attendantenergy, supplied or made available at transmission orsubtransmission voltage by one entity to another.

Entity means a person, private or public corpor ation, amunzc~pality, a cooperative, an association, a joint stock,association or business trust owning, operating or proposingin good faith to own or operate equipment or facilities forthe generation, transmission or distribution of electricityto or for the publ~ic as a utility.

1

Joint Applicant(s) means the Arizona Public Service Companyan t e Salt aver Project Agricultural Improvement and PowerDistrict.

2A. Each joint applicant will transmit Bulk Power over itstransmission system, between or among two or more Entitieswith which it is interconnected, or will be interconnected inthe future, without restrictions on use or resale of thepower so transmitted, provided that such services canreasonably be accommodated from a technical standpointwithout impairing each joint applicant's reliability or itsown use of its facilites.

2B. Each joint applicant is obligated under this condition totransmit Bulk Power on the terms stated above, and inconnection with each joint applicant's plan to construct newtransmission facilities for its own use, to include in itsplanning and construction program sufficient transmissioncapacity for such Bulk Power transactions, provided that suchapplicant has received sufficient advance notice as may benecessary from a technical standpoint to accommodate therequirements of any requesting entity, and further providedthat such entity(ies) are obligated as may be agreed (i) toshare the capital, operating and maintenance costs of such

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new transmission facilities to the extent that additionalcosts burdens would be imposed on such joint applicant or(ii) to compensate the joint applicant fully for the use ofits system.

3. The foregoing shall be implemented in a manner consistent. with the provisions of the Federal Power Act as applicable

and all rates, charges or practices in connection therewithare to be subject to the approval of regulatory agencieshaving jurisdiction over them.

SRP entered into an Agreement dated August 31, 1955, with ArizonaPublic Service Company (APS) which contained certain restrictiveprovisions applicable to sales at retail and sales at wholesalewhich were eliminated by a supplemental agreement between theparties dated December 1, 1972.

In addition SRP has entered into transmission service agreementsfor the delivery of bulk power which comply with the conditionsof the Construction Permit. These agreements are as follows:

TRANSMISSION SERVICE AGREEMENTS EFFECTIVE DATE

2.

SERVICE SCHEDULE J to the Power Coordination .. 8/1/73greement date eptember 15, 1955 between

Salt River Project Agricultural Improvement andPower District and Arizona Public Service Company.

SALT RIVER PROJECT/AUTHORITY ASSIGNMENT AGREEMENT 8/14/81etween Salt River Project Agricultural Improvement

and Power District and Southern California PublicPower Authority.

3. CORONADO PROJECT PARTICIPATION AGREEHENT between 12/23/77a t aver roJec grzcu ura , mprovement

and Power District and Department ofWater and .Power of the City of Los Angeles.

4. POWER AGREEMENT between Electrical District No. 5an a t xver Project Agricultural Improvementand Power District.

6/1/65

5 ~ POWER AGREEHENT between Electrical District No. 6an a izver Project Agricultural Improvementand Power District.

6/1/65

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6. POWER AGREEMENT between Ocotillo Water Conservation 4/1/65is roc an alt River Project AgriculturalImprovement and Power District.

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8.

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POWER AGREEMENT between Queen Creek Irrigationxs roc an balt River Project Agricultural

Improvement and Power District.POWER AGREEMENT between Roosevelt Wateronserva son xstrict and Salt River ProjectAgricultural Improvement and Power District.

INTERCONNECTION AND WHEELING AGREEMENT betweenazns ec roc enera won an ransmxssion

Transmission Cooperative, Inc. and Salt RiverProject Agricultural Improvement and PowerDistrict.

4/1/66

6/8/51

10/27/80

10. POWER AGREEMENT between Santan Irrigationzstrzct an Salt River Project Agricultural

Improvement and Power District.11. ELECTRIC SERVICE AGREEMENT between Williamsir orce Base and Salt River Project

Agricultural Impr'ovement and PowerDistrict.12. POWER SALES AGREEHENT be'tween San Carlos

roject United States Department of theInterior Bureau of Indian Affairs and SaltRiver Project Agricultural Improvement andPower District.

13. POWER SALES AGREEMENT between Chandler Heightsrrigation District and Salt River Project

Agricultural Improvement and Power District.14. POWER SALES CONTRACT.between City of Mesa

an Sa t River Prospect Agricultural Improvementand Power District.

15. LETTER AGREEMENT between Southern Californiaxson ompany and Sa'lt River Project

Agricultural Improvement and PowerDistrict.

4/1/67

10/1/62

4/1/76

3/23/65

7/1/73

1/19/80

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